Landed home prices grew 0.4 percent according to the Urban Redevelopment Authority (URA) Index, indicating that demand for such homes remains healthy.
Terraced homes saw the biggest price rise at 1.2 percent, followed by semi-detached houses at 0.6 percent, while detached residences fell by 0.4 percent.
Several consultants noted that landed property prices have significantly exceeded those of non-landed private homes since Q3 2010.
Prices of landed homes have doubled in the last seven years, said Png Poh Soon, Research Head at Knight Frank. They are also considered to be better investments “given the limited supply of landed properties in land-scarce Singapore with a growing population, rising affluence of local families and influx of new wealthy citizens”.
For instance, 39 out of 50 landed homes released at Haus@Serangoon Garden (pictured) were snapped up in just two weeks.
The two-storey houses with basement and attic, which are being developed by City Developments and Hong Realty, do not come cheap. An intermediate terraced home measuring 1,615 sq ft goes for at least S$2.4 million while a 2,284 sq ft corner terrace has a minimum price of S$2.8 million.
Png said prices of landed homes have “risen substantially” since Q2 2009 and increased by almost 80 percent during Q2 2012.
Terraced homes saw the biggest price hike of 84 percent since Q2 2009 while prices of semi-detached and detached houses rose 71 and 83 percent respectively.
“Demand for terraced homes has increased along with rising mass affluence of local buyers, who upgrade their homes for larger living spaces… and to capitalise on the current low favourable interest rates,” added Png.